Domenico De Sole’s Gucci Group has acquired a 91 percent stake in the famed fashion couture house Balenciaga, taking another step toward his goal of beating out Bernard Arnault’s LVMH to become the leading luxury conglomerate.

The remaining 9 percent was given to Balenciaga designer Nicolas Ghesquiere as part of the transaction, ensuring that Ghesquiere will stay with the famed house. Financial details were not released.

The Gucci Group plans to expand the house of Balenciaga into a global luxury brand by capitalizing on its famed history to market ready-to-wear, accessories and fragrances.

In addition, the company will open flagship stores in the world’s fashion capitals including New York, Los Angeles, Tokyo, Milan, London and a second location in Paris, a spokesperson said.

“We are delighted to acquire one of the world’s great fashion brands,” said De Sole in a statement, “and we are particularly pleased that Nicolas has agreed to play a key role in its future.

“His work displays exceptional creative talent and commercial sense, and Balenciaga has become one of the outstanding fashion stories in recent years.”

The acquisition is the fourth major purchase the Gucci Group has made this year. In addition to Balenciaga, Gucci also signed on Stella McCartney, Alexander McQueen and Bottega Veneta.

De Sole’s shopping spree is being financed with a $3 billion infusion from Pinault Printemps Redoute, an infusion that has allowed Gucci to hold off arch rival Bernard Arnault’s LVMH Moet Hennessy Louis Vuitton.

Rumors involving Ghesquiere possibly negotiating with the Gucci Group first surfaced earlier this year. The super-hot designer, named “International Designer of the Year” at the American Fashion Awards last month, was also mentioned as a contender for the open design slot at Givenchy, which later went to Julien MacDonald.

As time went on, the rumors focused on Gucci not only working with Ghesquiere but actually acquiring the house of Balenciaga, which was owned by Group Jacques Bogart.

The Gucci Group wasted no time in naming the top executives to run Balenciaga. Pascal Perrier, currently executive vice-president, director of licensing at Yves Saint Laurent, has been named CEO. Another YSL executive, Pierre Foulquie, has been named chief financial officer.

The House of Balenciaga was founded in Spain in the 1920s, but Cristobal Balenciaga moved its base of operations to Paris in 1937. Though the house’s haute couture business was discontinued in 1968, its licensed fragrance operation continued.